Quote:
Originally Posted by Steve Jordan
That suggests that they will turn a blind eye to everything except clear indications of profit off of their franchise that they are not a part of. In that case, making your own intentions clear in your material and documentation would probably be enough to keep you out of hot water. Although, as I said earlier, the actions of a few fans could still queer things for you, at least you would probably not be considered liable for their transgressions.
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The fact that authors and publishers are willing to "turn a blind eye" to fan fiction doesn't alter the fact that its legality is, to put it mildly, dubious. Fan Fiction is almost certainly illegal, in that it is a "derived work", and you aren't allowed to create a derived work without the permission of the copyright holder. Whether or not it's done for profit is entirely irrelevent to a discussion of its legality, although is obviously of relevence to whether or not the copyright holder is willing to put up with it.